The British Business Bank has agreed a further £100m increase to its existing facility with Oxbury Bank.

This second increase brings the British Business Bank’s total transaction to £300m and will help provide Oxbury with £150m of additional lending capacity.

Chester-based Oxbury, a UK bank with a singular focus on farmers and food production, launched as a fully regulated bank in February 2021, offering a range of flexible lending and asset finance solutions tailored to the specific needs of the rural economy.

The British Business Bank is the Government’s economic development bank and has a remit to improve access to finance for smaller businesses.

Its latest transaction, made under the British Business Bank’s ENABLE Guarantee scheme, will continue to offer a pricing discount to Oxbury to promote additional lending that meets certain sustainability metrics. As of December 2024, around 14% of the portfolio met the criteria for this pricing discount.

Managing director, structured FI solutions at the British Business Bank, Michael Strevens, said: “Increasing this transaction by a further £100m demonstrates our commitment to supporting smaller businesses across the rural economy.

“We are delighted to see 14% of the portfolio meets our sustainability metrics and look forward to seeing that percentage grow. We are excited to see the further growth that this partnership can provide to the sector in 2025 and beyond.”

Oxbury co-founder and CEO, James Farrar, added: “We are thrilled to expand our partnership with the British Business Bank to increase lending to SMEs within the farming and food sectors.

“Once fully utilised, the full £300m ENABLE Guarantee will support £150m in extra SME lending, further enhancing Oxbury's ability to positively impact farming and the rural economy. This funding also reflects our commitment to sustainability in the sector by 2025.”

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